8-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C.  20549

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

Date of Report (Date of earliest event reported):  May 6, 2010

Commission File Number	Registrant; State of Incorporation; Address and Telephone Number	IRS Employer Identification No.
1-11459	PPL Corporation (Exact name of Registrant as specified in its charter) (Pennsylvania) Two North Ninth Street Allentown, PA  18101-1179 (610) 774-5151	23-2758192
1-32944	PPL Energy Supply, LLC (Exact name of Registrant as specified in its charter) (Delaware) Two North Ninth Street Allentown, PA  18101-1179 (610) 774-5151	23-3074920
1-905	PPL Electric Utilities Corporation (Exact name of Registrant as specified in its charter) (Pennsylvania) Two North Ninth Street Allentown, PA  18101-1179 (610) 774-5151	23-0959590

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

[  ]	Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
[  ]	Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
[  ]	Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
[  ]	Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Section 2 - Financial Information

Item 2.02 Results of Operations and Financial Condition

On May 6, 2010, PPL Corporation (“PPL”) issued a press release announcing its financial results for the quarter ended March 31, 2010, and other business matters.  A copy of the press release is attached as Exhibit 99.1 and incorporated herein by reference.

Section 7 - Regulation FD

Item 7.01 Regulation FD Disclosure

On May 6, 2010, at 9:00 a.m. (Eastern Time), members of PPL's senior management will hold a teleconference and webcast with financial analysts to discuss PPL’s financial results for the quarter ended March 31, 2010, and other business matters.  A copy of the slides to be used during the webcast is attached as Exhibit 99.2 and incorporated herein by reference.  The event will be available live, in audio format, along with the slides, on PPL’s Internet Web site: www.pplweb.com.  The webcast will be available for replay on PPL’s Web site for 30 days.

Section 9 - Financial Statements and Exhibits

Item 9.01 Financial Statements and Exhibits

(d)	Exhibits
	99.1 -	Press Release, dated May 6, 2010, announcing PPL’s financial results for the quarter ended March 31, 2010, and other business matters.
	99.2 -	Slides to be used on the May 6, 2010 webcast among members of PPL’s senior management and financial analysts.

SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrants have duly caused this report to be signed on their behalf by the undersigned hereunto duly authorized.

PPL CORPORATION
By:	/s/ Vincent Sorgi
	Vincent Sorgi Vice President and Controller

PPL ENERGY SUPPLY, LLC
By:	/s/ Vincent Sorgi
	Vincent Sorgi Vice President and Controller

PPL ELECTRIC UTILITIES CORPORATION
By:	/s/ Vincent Sorgi
	Vincent Sorgi Vice President and Controller

Dated:  May 6, 2010

EX-99.1

Exhibit 99.1

Contacts:	For news media – George Biechler, 610-774-5997
	For financial analysts – Joseph P. Bergstein, 610-774-5609

PPL reports increase in first-quarter earnings versus year ago

·   Energy supply business margins and earnings improve

·   Company reaffirms 2010 earnings forecast

ALLENTOWN, Pa. (May 6, 2010) ― PPL Corporation (NYSE: PPL) on Thursday (5/6) reported an increase in first-quarter earnings for 2010, compared with the same quarter of 2009.

PPL’s reported earnings in the most recent quarter were $0.66 per share, up from $0.64 per share a year ago. Adjusting for special items, PPL’s earnings from ongoing operations for the quarter were $0.94 per share, compared with $0.60 per share a year ago.

Driving PPL’s significantly higher quarterly earnings from ongoing operations were higher wholesale electricity margins in the company’s energy supply business. Partially offsetting the higher margins were lower earnings in PPL’s regulated electric delivery businesses in Pennsylvania and the United Kingdom.

PPL reaffirmed its 2010 forecast of $3.10 to $3.50 per share in earnings from ongoing operations. PPL’s 2010 forecast of reported earnings is $2.82 to $3.22 per share, reflecting special items recorded through March 31, 2010. The company’s forecast does not reflect any impact of the recently announced agreement to acquire E.ON U.S., LLC, including the required financing related to that acquisition.

“As expected, earnings from our energy supply business increased significantly in the first quarter, following the expiration of a decade-long contract with our Pennsylvania electric delivery company,” said James H. Miller, PPL’s chairman, president and chief executive officer.

“Although declining energy prices, lower electricity demand and lingering economic uncertainty present continuing challenges for our sector, we are reiterating our 2010 forecast of earnings from ongoing operations,” Miller said. “Our supply business will benefit from wholesale energy prices that were contractually hedged in prior years at prices higher than current forward prices.”

First-Quarter 2010 Earnings Details

Special item charges in the quarter, totaling $0.28 per share, were: $0.16 per share for energy-related economic activity; $0.09 per share related to hydroelectric litigation in Montana; $0.02 per share for a tax change related to retiree prescription drug coverage, in connection with the recent federal health care legislation; and $0.01 per share related to the impairment of emission allowances. For the first quarter of 2009, PPL recorded a net special item credit of $0.04 per share.

Reported earnings are calculated in accordance with generally accepted accounting principles (GAAP). Earnings from ongoing operations is a non-GAAP financial measure that is adjusted for special items. Special items include the impact of energy-related economic activity (principally changes in fair value of economic hedges and the ineffective portion of qualifying cash flow hedges), as well as other impacts fully detailed at the end of this news release.

(Dollars in millions, except for per share amounts)

	1st Quarter	1st Quarter
	2010	2009	% Change
Reported Earnings	$250	$241	+4%
Reported Earnings Per Share	$0.66	$0.64	+3%
Earnings from Ongoing Operations	$357	$226	+58%
Per Share Earnings from Ongoing Operations	$0.94	$0.60	+57%

(See the tables at the end of this news release for details as to all special items and the reconciliation of earnings from ongoing operations to reported earnings.)

First-Quarter 2010 Earnings by Business Segment

The following chart shows PPL’s earnings by business segment for the first quarter of 2010, compared with the same period of 2009.

	1st Quarter
	2010			2009
(per share)
Earnings from Ongoing Operations
Supply	$	0.64		$	0.22
Pennsylvania Delivery		0.10			0.14
International Delivery		0.20			0.24
Total	$	0.94		$	0.60
Special Items
Supply	$	(0.28	)	$	0.06
Pennsylvania Delivery		-			(0.01	)
International Delivery		-			(0.01	)
Total	$	(0.28	)	$	0.04
Reported Earnings
Supply	$	0.36		$	0.28
Pennsylvania Delivery		0.10			0.13
International Delivery		0.20			0.23
Total	$	0.66		$	0.64

(For more details and a breakout of special items by segment, see the reconciliation tables at the end of this news release.)

Key Factors Impacting Business Segment Earnings from Ongoing Operations

Supply Segment

PPL’s supply business segmentprimarily consists of the domestic energy generation and marketing and trading operations of PPL Energy Supply.

Earnings from ongoing operations for PPL’s supply business segment in the first quarter of 2010 increased by $0.42 per share compared with 2009. This increase was primarily due to significantly higher eastern baseload generation pricing compared to the prices realized under the full-requirements supply contract with PPL’s electricity delivery company that expired at the end of 2009.

Partially offsetting these positive earnings were lower realized net margins from load-following agreements due to continued lower customer demand, higher operation and maintenance expenses at PPL’s Susquehanna nuclear plant as a result of the timing of this year’s refueling outage, and the absence of a gain recorded in 2009 when PPL Energy Supply repurchased a portion of its outstanding debt.

Pennsylvania Delivery Segment

PPL’s Pennsylvania delivery business segment includes the regulated electric delivery operations of PPL Electric Utilities.

Earnings from ongoing operations for PPL’s Pennsylvania delivery business segment in the first quarter of 2010 declined by $0.04 per share compared with 2009. This decrease was due to higher operation and maintenance expenses, and lower distribution margins as a result of continued slow economic growth, milder weather and customers’ reduced consumption of electricity in apparent response to the increased cost of energy supply.

International Delivery Segment

PPL’s international delivery business segment primarily includes the regulated electric delivery operations of Western Power Distribution in the U.K.

Earnings from ongoing operations for PPL’s international delivery business segment in the first quarter of 2010 declined by $0.04 per share compared with a year ago. This decline was primarily due to higher financing costs, higher U.K. income taxes, and higher pension costs, which were partially offset by higher electric delivery revenues and a more favorable currency exchange rate.

2010 Earnings from Ongoing Operations Forecast by Business Segment

Earnings	2010 (Forecast)	2009 (Actual)
(per share)	midpoint
Supply	$2.44	$0.88
Pennsylvania Delivery	0.29	0.35
International Delivery	0.57	0.72
Total	$3.30	$1.95

PPL is reaffirming its 2010 forecast of $3.10 to $3.50 per share in earnings from ongoing operations. The company’s forecast does not reflect any impact of the recently announced agreement to acquire E.ON U.S., LLC, including the required financing related to that acquisition.  This forecast does reflect the following key expectations by business segment.

Supply Segment

PPL projects higher earnings from its supply business segment in 2010 compared with 2009, due to strong growth in energy margins. The forecast for strong growth in energy margins is based on hedged power and fuel prices as well as established capacity prices in the PJM Interconnection. These positive factors are expected to be partially offset by higher depreciation, higher financing costs, and higher operation and maintenance expenses.

Pennsylvania Delivery Segment

PPL projects lower earnings from its Pennsylvania delivery business segment in 2010 compared with 2009, primarily driven by higher operation and maintenance expenses, partially offset by lower financing costs.

International Delivery Segment

PPL projects lower earnings from its international delivery business segment in 2010 compared with 2009 as a result of higher income taxes, higher operation and maintenance expenses, and higher financing costs. These negative factors are expected to be partially offset by higher electric delivery revenues and a more favorable currency exchange rate.

PPL Corporation, headquartered in Allentown, Pa., owns or controls nearly 12,000 megawatts of generating capacity in the United States, sells energy in key U.S. markets and delivers electricity to about 4 million customers in Pennsylvania and the United Kingdom. More information is available at www.pplweb.com.

###

(Note: All references to earnings per share in the text and tables of this news release are stated in terms of diluted earnings per share.)

Conference Call and Webcast

PPL invites interested parties to listen to a live Internet webcast of management’s teleconference with financial analysts about first-quarter 2010 financial results at 9 a.m. EDT Thursday, May 6. The meeting is available online live, in audio format, along with slides of the presentation, on PPL’s Web site: www.pplweb.com. The webcast will be available for replay on the PPL Web site for 30 days. Interested individuals also can access the live conference call via telephone at 702-696-4769 (ID# 71016750).

“Earnings from ongoing operations” should not be considered as an alternative to reported earnings, or net income attributable to PPL, which is an indicator of operating performance determined in accordance with generally accepted accounting principles (GAAP). PPL believes that “earnings from ongoing operations,” although a non-GAAP financial measure, is also useful and meaningful to investors because it provides them with management’s view of PPL’s fundamental earnings performance as another criterion in making their investment decisions. PPL’s management also uses “earnings from ongoing operations” in measuring certain corporate performance goals. Other companies may use different measures to present financial performance.

“Earnings from ongoing operations” is adjusted for the impact of special items. Special items include:

·   Energy-related economic activity (as discussed below).

·   Foreign currency-related economic hedges.

·   Sales of assets not in the ordinary course of business.

·   Impairment charges (including impairments of securities in the company’s nuclear decommissioning trust funds).

·   Workforce reduction and other restructuring impacts.

·   Other charges or credits that are, in management’s view, not reflective of the company’s ongoing operations.

Energy-related economic activity includes the changes in fair value of positions used to economically hedge a portion of the economic value of PPL’s generation assets, load-following and retail activities. This economic value is subject to changes in fair value due to market price volatility of the input and output commodities (e.g., fuel and power). Also included in this special item is the ineffective portion of qualifying cash flow hedges and the premium amortization associated with options classified as economic activity. These items are included in ongoing earnings over the delivery period of the item that was hedged or upon realization. Management believes that adjusting for such amounts provides a better matching of earnings from ongoing operations to the actual amounts settle d for PPL’s underlying hedged assets.Please refer to the Notes to the Consolidated Financial Statements and MD&A in PPL Corporation’s periodic filings with the Securities and Exchange Commission for additional information on energy-related economic activity.

Statements contained in this news release, including statements with respect to future earnings, energy prices, margins and sales, growth, revenues, expenses, marketing performance, hedging, financing, regulation, exchange rates, acquisitions, corporate strategy, and generating capacity and performance, are “forward-looking statements” within the meaning of the federal securities laws. Although PPL Corporation believes that the expectations and assumptions reflected in these forward-looking statements are reasonable, these statements are subject to a number of risks and uncertainties, and actual results may differ materially from the results discussed in the statements. The following are among the important factors that could cause actual results to differ materially from the f orward-looking statements: market demand and prices for energy, capacity and fuel; weather conditions affecting customer energy usage and operating costs; competition in power markets; the effect of any business or industry restructuring; the profitability and liquidity of PPL Corporation and its subsidiaries; new accounting requirements or new interpretations or applications of existing requirements; operating performance of plants and other facilities; environmental conditions and requirements and the related costs of compliance, including environmental capital expenditures and emission allowance and other expenses; system conditions and operating costs; development of new projects, markets and technologies; performance of new ventures; asset acquisitions and dispositions; any impact of hurricanes or other severe weather on our business, including any impact on fuel prices; receipt of necessary government permits, approvals, rate relief and regulator y cost recovery; capital market conditions and decisions regarding capital structure; the impact of state, federal or foreign investigations applicable to PPL Corporation and its subsidiaries; the outcome of litigation against PPL Corporation and its subsidiaries; stock price performance; the market prices of equity securities and the impact on pension income and resultant cash funding requirements for defined benefit pension plans; the securities and credit ratings of PPL Corporation and its subsidiaries; political, regulatory or economic conditions in states, regions or countries where PPL Corporation or its subsidiaries conduct business, including any potential effects of threatened or actual terrorism or war or other hostilities; foreign exchange rates; new state, federal or foreign legislation, including new tax legislation; and the commitments and liabilities of PPL Corporation and its subsidiaries. Any such forward-looking statements should be considered in light of such important factors and in conju nction with PPL Corporation’s Form 10-K and other reports on file with the Securities and Exchange Commission.

#     #     #

Note to Editors: Visit PPL’s media Web site at www.pplnewsroom.com for additional news and background about PPL Corporation and its subsidiaries.

PPL CORPORATION AND SUBSIDIARIES
CONDENSED CONSOLIDATED FINANCIAL INFORMATION (a)
Condensed Consolidated Balance Sheet (Unaudited)
(Millions of Dollars)
	March 31,			December 31,
	2010			2009
Assets
Cash and cash equivalents	$	1,724		$	801
Price risk management assets - current		3,348			2,157
Assets held for sale					127
Other current assets		2,149			1,667
Investments		638			613
Property, plant and equipment
Electric plant		21,089			21,151
Gas and oil plant		68			68
Other property		157			166
Property, plant and equipment, gross		21,314			21,385
Less:  accumulated depreciation		8,256			8,211
Property, plant and equipment, net		13,058			13,174
Regulatory assets		529			531
Goodwill and other intangibles		1,362			1,421
Price risk management assets - noncurrent		1,713			1,274
Other noncurrent assets		414			400
Total assets	$	24,935		$	22,165
Liabilities and Equity
Short-term debt (including current portion of long-term debt)	$	589		$	639
Price risk management liabilities - current		2,391			1,502
Other current liabilities		2,812			2,041
Long-term debt (less current portion)		7,652			7,143
Deferred income taxes and investment tax credits		2,313			2,153
Price risk management liabilities - noncurrent		853			582
Accrued pension obligations		1,104			1,283
Other noncurrent liabilities		1,010			1,007
Common stock and capital in excess of par value		2,314			2,284
Earnings reinvested		3,866			3,749
Accumulated other comprehensive loss		(288	)		(537	)
Noncontrolling interests		319			319
Total liabilities and equity	$	24,935		$	22,165

(a) The Financial Statements in this news release have been condensed and summarized for purposes of this presentation. Please refer to PPL Corporation's periodic filings with the Securities and Exchange Commission for full financial statements, including note disclosure.

PPL CORPORATION AND SUBSIDIARIES
Condensed Consolidated Income Statement (Unaudited)
(Millions of Dollars, Except per Share Data)
	3 Months Ended March 31,						12 Months Ended March 31,
	2010			2009 (a)			2010			2009 (a)
Operating Revenues
Utility	$	1,014		$	1,065		$	3,851		$	4,059
Unregulated retail electric and gas (b)		104			42			214			159
Wholesale energy marketing
Realized		1,386			798			3,879			2,658
Unrealized economic activity (b)		424			352			(157	)		1,588
Net energy trading margins		11			(12	)		40			(131	)
Energy-related businesses		94			99			418			502
Total Operating Revenues		3,033			2,344			8,245			8,835
Operating Expenses
Operation
Fuel (b)		233			258			906			1,102
Energy purchases
Realized		1,012			677			2,971			1,994
Unrealized economic activity (b)		563			269			449			1,081
Other operation and maintenance		445			372			1,497			1,419
Amortization of recoverable transition costs					84			220			301
Depreciation		128			109			488			456
Taxes, other than income		72			72			280			285
Energy-related businesses		88			91			393			465
Total Operating Expenses		2,541			1,932			7,204			7,103
Operating Income		492			412			1,041			1,732
Other Income - net		8			35			22			79
Other-Than-Temporary Impairments					17			1			50
Interest Expense		114			89			421			436
Income from Continuing Operations Before Income Taxes		386			341			641			1,325
Income Taxes		131			98			163			402
Income from Continuing Operations After Income Taxes		255			243			478			923
Income (Loss) from Discontinued Operations (net of income taxes)					3			(43	)		8
Net Income		255			246			435			931
Net Income Attributable to Noncontrolling Interests		5			5			19			20
Net Income Attributable to PPL Corporation	$	250		$	241		$	416		$	911
Amounts Attributable to PPL Corporation:
Income from Continuing Operations After Income Taxes	$	250		$	238		$	459		$	903
Income (Loss) from Discontinued Operations (net of income taxes)					3			(43	)		8
Net Income	$	250		$	241		$	416		$	911
Earnings Per Share of Common Stock - Basic (c)
Earnings from Ongoing Operations	$	0.94		$	0.60		$	2.30		$	2.02
Special Items		(0.28	)		0.04			(1.20	)		0.40
Net Income Available to PPL Corporation Common Shareowners	$	0.66		$	0.64		$	1.10		$	2.42
Earnings Per Share of Common Stock - Diluted (c)
Earnings from Ongoing Operations	$	0.94		$	0.60		$	2.30		$	2.01
Special Items		(0.28	)		0.04			(1.20	)		0.41
Net Income Available to PPL Corporation Common Shareowners	$	0.66		$	0.64		$	1.10		$	2.42
Weighted-Average Shares of Common Stock Outstanding (thousands)
Basic		377,717			375,112			376,761			374,212
Diluted		377,986			375,409			376,962			375,002

(a)	Certain amounts from 2009 have been reclassified to conform to the current year presentation.
(b)	Includes energy-related contracts to hedge future cash flows that are not eligible for hedge accounting, or where hedge accounting is not elected.
(c)	Earnings in 2010 and 2009 were impacted by several special items, as described in the text and tables of this news release.  Earnings from ongoing operations excludes the impact of these special items.

PPL CORPORATION AND SUBSIDIARIES
Condensed Consolidated Statements of Cash Flows (Unaudited)
(Millions of Dollars)
	Three Months Ended
	March 31,
	2010			2009
Cash Flows from Operating Activities
Net Income	$	255		$	246
Adjustments to reconcile net income to net cash provided
by operating activities:
Depreciation		128			110
Amortization of recoverable transition costs and other		51			93
Defined benefits		(115	)		(6	)
Impairment of assets		3			51
Deferred income taxes and investment tax credits		(5	)		(12	)
Unrealized (gains) losses on derivatives, and other hedging activities		107			(103	)
Gains related to the extinguishment of notes					(29	)
Provision for Montana hydroelectric litigation		56
Changes in current assets and current liabilities:
Counterparty collateral deposits		351			137
Other changes in current assets and current liabilities		(52	)		(211	)
Other operating activities		19			34
Net cash provided by operating activities		798			310
Cash Flows from Investing Activities
Expenditures for property, plant and equipment		(283	)		(270	)
Proceeds from the sale of the Long Island generation business		124
Expenditures for intangible assets		(22	)		(30	)
Net (increase) decrease in restricted cash and cash equivalents		(130	)		156
Other investing activities		1			(6	)
Net cash used in investing activities		(310	)		(150	)
Cash Flows from Financing Activities
Issuance of long-term debt		597
Retirement of long-term debt					(421	)
Payment of common stock dividends		(131	)		(126	)
Net decrease in short-term debt		(36	)		(90	)
Other financing activities					8
Net cash provided by (used in) financing activities		430			(629	)
Effect of Exchange Rates on Cash and Cash  Equivalents		5
Net Increase (Decrease) in Cash and Cash Equivalents		923			(469	)
Cash and cash equivalents at beginning of period		801			1,100
Cash and cash equivalents at end of period	$	1,724		$	631

Key Indicators (Unaudited)
	12 Months Ended
	March 31,
Financial	2010			2009
Dividends declared per share	$	1.385		$	1.35
Book value per share (a)	$	15.58		$	13.94
Market price per share (a)	$	27.71		$	28.71
Dividend yield (a)		5.0	%		4.7	%
Dividend payout ratio  (b)		126	%		56	%
Dividend payout ratio - earnings from ongoing operations (b)(c)		60	%		67	%
Price/earnings ratio (a)(b)		25.2			11.9
Price/earnings ratio - earnings from ongoing operations (a)(b)(c)		12.0			14.3
Return on average common equity		7.45	%		16.79	%
Return on average common equity - earnings from ongoing operations (c)		15.29	%		14.54	%

(a)	End of period.
(b)	Based on diluted earnings per share.
(c)	Calculated using earnings from ongoing operations, which excludes the impact of special items, as described in the text and tables of this news release.

Operating - Domestic & International Electricity Sales (Unaudited)
	3 Months Ended March 31,							12 Months Ended March 31,
					Percent							Percent
(millions of kwh)	2010		2009		Change			2010		2009		Change
Domestic Retail
Delivered (a)		10,285		10,677		(3.7	%)		36,325		38,153		(4.8	%)
Supplied (b)		2,466		11,250		(78.1	%)		30,128		40,486		(25.6	%)
International Delivered
United Kingdom		7,609		7,604		0.1	%		26,363		27,574		(4.4	%)
Domestic Wholesale
East		17,193		6,763		154.2	%		37,952		29,450		28.9	%
West		2,761		2,934		(5.9	%)		11,293		13,371		(15.5	%)

(a)	Represents the kwh delivered to retail customers within PPL Electric Utilities Corporation's service territory.
(b)	Represents the kwh supplied by PPL EnergyPlus to PPL Electric Utilities as PLR, and to retail customers in Pennsylvania and Montana.

Reconciliation of Business Segment Earnings from Ongoing Operations to Reported Earnings (Diluted)
(Unaudited)
1st Quarter 2010	(millions of dollars)												(per share)
				PA			Int'l									PA			Int'l
	Supply			Delivery			Delivery			Total			Supply			Delivery			Delivery			Total
Earnings from Ongoing   Operations	$	244		$	37		$	76		$	357		$	0.64		$	0.10		$	0.20		$	0.94
Special Items
Energy-related economic activity		(65	)								(65	)		(0.16	)								(0.16	)
Impairments [a]		(2	)								(2	)		(0.01	)								(0.01	)
Other:
Montana hydroelectric litigation		(32	)								(32	)		(0.09	)								(0.09	)
Health Care Reform - tax impact		(8	)								(8	)		(0.02	)								(0.02	)
Total Special Items		(107	)								(107	)		(0.28	)								(0.28	)
Reported Earnings	$	137		$	37		$	76		$	250		$	0.36		$	0.10		$	0.20		$	0.66
12 Months Ended March 31, 2010	(millions of dollars)												(per share)
				PA			Int'l									PA			Int'l
	Supply			Delivery			Delivery			Total			Supply			Delivery			Delivery			Total
Earnings from Ongoing   Operations	$	496		$	115		$	258		$	869		$	1.31		$	0.31		$	0.68		$	2.30
Special Items
Energy-related economic activity		(340	)								(340	)		(0.90	)								(0.90	)
Foreign currency-related economic hedges - unrealized impacts								1			1
Sales of assets (Q2, '09; Q3, '09; Q4, '09)		(15	)					(27	)		(42	)		(0.04	)					(0.07	)		(0.11	)
Impairments (Q2, '09; Q3, '09; Q4, '09; Q1, '10) [a]		(5	)								(5	)		(0.01	)								(0.01	)
Other:
Montana hydroelectric litigation (Q4, '09; Q1, '10)		(35	)								(35	)		(0.09	)								(0.09	)
Health Care Reform - tax impact (Q1, '10)		(8	)								(8	)		(0.02	)								(0.02	)
Change in tax accounting method related to repairs (Q3, '09; Q4, '09)		(21	)		(3	)					(24	)		(0.06	)		(0.01	)					(0.07	)
Total Special Items		(424	)		(3	)		(26	)		(453	)		(1.12	)		(0.01	)		(0.07	)		(1.20	)
Reported Earnings	$	72		$	112		$	232		$	416		$	0.19		$	0.30		$	0.61		$	1.10
1st Quarter 2009	(millions of dollars)												(per share)
				PA			Int'l									PA			Int'l
	Supply			Delivery			Delivery			Total			Supply			Delivery			Delivery			Total
Earnings from Ongoing   Operations	$	81		$	55		$	90		$	226		$	0.22		$	0.14		$	0.24		$	0.60
Special Items
Energy-related economic activity		50									50			0.13									0.13
Impairments (a)		(20	)		(1	)		(1	)		(22	)		(0.06	)								(0.06	)
Workforce reduction		(6	)		(5	)		(2	)		(13	)		(0.01	)		(0.01	)		(0.01	)		(0.03	)
Total Special Items		24			(6	)		(3	)		15			0.06			(0.01	)		(0.01	)		0.04
Reported Earnings	$	105		$	49		$	87		$	241		$	0.28		$	0.13		$	0.23		$	0.64
12 Months Ended March 31, 2009	(millions of dollars)												(per share)
				PA			Int'l									PA			Int'l
	Supply			Delivery			Delivery			Total			Supply			Delivery			Delivery			Total
Earnings from Ongoing Operations	$	314		$	162		$	283		$	759		$	0.83		$	0.43		$	0.75		$	2.01
Special Items
Energy-related economic activity		251									251			0.67									0.67
Sale of assets (Q2, '08; Q3, '08; Q4, '08; Q1, '09)					(6	)					(6	)					(0.02	)					(0.02	)
Impairments (Q2, '08; Q3, '08; Q4, '08; Q1, '09) [a]		(78	)		(1	)		(2	)		(81	)		(0.21	)								(0.21	)
Other:
Workforce reduction (Q1, '09)		(6	)		(5	)		(2	)		(13	)		(0.01	)		(0.01	)		(0.01	)		(0.03	)
Off-site remediation of ash basin leak (Q2, '08)		1									1
Total Special Items		168			(12	)		(4	)		152			0.45			(0.03	)		(0.01	)		0.41
Reported Earnings	$	482		$	150		$	279		$	911		$	1.28		$	0.40		$	0.74		$	2.42

	2010						2009
	1st Quarter			12 Months Ended			1st Quarter			12 Months Ended
(a)   Impairments consist of:
Emission allowances	$	(2	)	$	(6	)	$	(15	)	$	(40	)
Nuclear decommissioning trust funds					4			(3	)		(20	)
Holtwood hydroelectric plant											(13	)
Other					(3	)		(4	)		(8	)
	$	(2	)	$	(5	)	$	(22	)	$	(81	)

EX-99.2

First Quarter Earnings Call
May 6, 2010

© PPL Corporation 2010

Exhibit 99.2

© PPL Corporation 2010

1

Any statements made in this presentation about future operating
results or other future events are forward-looking statements under
the Safe Harbor Provisions of the Private Securities Litigation Reform
Act of 1995. Actual results may differ materially from such forward-
looking statements. A discussion of factors that could cause actual
results or events to vary is contained in the Appendix to this
presentation and in the Company’s SEC filings.

Cautionary Statements and Factors
That May Affect Future Results

© PPL Corporation 2010

2

J. H. Miller

P. A. Farr

W. H. Spence

Agenda

First Quarter 2010 Earnings and 2010

Earnings Forecast and Outlook

Segment Results and Financial Overview

Operational Review

Q&A

© PPL Corporation 2010

3

Reported Earnings

Earnings from Ongoing Operations

Note:See Appendix for the reconciliation of earnings from ongoing operations to reported earnings.

Earnings Results

© PPL Corporation 2010

4

Forecast

$2.02

$3.50

Per Share

$1.95

$3.10

Note:See Appendix for the reconciliation of earnings from ongoing operations to reported earnings.

Strong Expected Earnings Growth

© PPL Corporation 2010

5

$ 0.34

$0.60

$0.94

Total

(0.04)

0.24

0.20

International Delivery

(0.04)

0.14

0.10

Pennsylvania Delivery

$ 0.42

$0.22

$0.64

Supply

Change

Q1

2009

Q1

2010

Note: See Appendix for the reconciliation of earnings from ongoing operations to reported earnings.

Ongoing Earnings Overview

© PPL Corporation 2010

6

Note: See Appendix for the reconciliation of earnings from ongoing operations to reported earnings.

	1st Quarter
2009 EPS - Ongoing Earnings		$0.22
Margins - East	0.53
O&M	(0.06)
Depreciation	(0.02)
Income Taxes & Other	(0.03)
Total		0.42
2010 EPS - Ongoing Earnings		$0.64

Supply Segment
Earnings Drivers

© PPL Corporation 2010

7

Note: See Appendix for the reconciliation of earnings from ongoing operations to reported earnings.

	1st Quarter
2009 EPS - Ongoing Earnings		$0.14
Delivery Margins	(0.02)
O&M	(0.02)
Total		(0.04)
2010 EPS - Ongoing Earnings		$0.10

Pennsylvania Delivery Segment
Earnings Drivers

© PPL Corporation 2010

8

Note: See Appendix for the reconciliation of earnings from ongoing operations to reported earnings.

	1st Quarter
2009 EPS - Ongoing Earnings		$0.24
Utility Revenues	0.02
O&M	(0.02)
Financing Costs	(0.03)
Effect of Exchange Rates	0.02
Income Taxes & Other	(0.03)
Total		(0.04)
2010 EPS - Ongoing Earnings		$0.20

International Delivery Segment
Earnings Drivers

© PPL Corporation 2010

9

Forecast

Note: See Appendix for the reconciliation of earnings from ongoing operations to reported earnings.

$2.02

$3.50

Per Share

$1.95

$3.10

Strong Expected Earnings Growth

© PPL Corporation 2010

10

Millions

Note:See Appendix for reconciliation of cash from operations to free cash flow before dividends

Free Cash Flow before Dividends Forecast

© PPL Corporation 2010

11

PA and International Delivery Segment
Operational Update

PA Delivery

§PPLEU completed 4th solicitation for 2011 to mid-2013 procurement
period

§PPLEU filed for $114.7 million distribution rate increase

International Delivery

§WPD agreed to outcome of Distribution Price Control 5 (DPCR5)

•New rates effective April 1

© PPL Corporation 2010

12

PPL Electric Utilities Rate Case Facts

§Seeking $114.7 million distribution rate increase

•Future test year is 2010

•Requested allowed ROE of 11.75%

•2010 Common Equity of 48.4%

•2010 Distribution Rate Base of $2.245 billion

§1% change in ROE = $20 million in revenue

§Docket # R-2010-2161694

© PPL Corporation 2010

13

Supply Segment Operational Update

§Completed sale of Long Island generation assets

§Susquehanna nuclear power plant set operational record

§Susquehanna Unit #1 completed refueling outage and uprate work

© PPL Corporation 2010

14

As of March 31, 2010

*Represents expected sales based on current business plan assumptions

**Represents energy, capacity, congestion and other revenues

	2010	2011	2012
Baseload
Expected Generation* (Million MWhs)	52.0	52.1	56.1
East	43.3	43.8	47.6
West	8.7	8.3	8.5
Current Hedges (%)	100%	96%	61%
East	100%	97%	58%
West	100%	91%	79%
Average Hedged Price (Energy Only) ($/MWh)	$58	$57	$59
East	$59	$58	$60
West	$49	$55	$56
Expected Average Price (Fully Loaded) ($/MWh)	$69	$65	$66
East**	$71	$67	$69
West	$49	$55	$56
% Hedged Through Swaps/Options Energy Transactions	97%	95%	61%
% Hedged Through Load-following Transactions	3%	1%	0%
Intermediate/Peaking
Expected Generation (Million MWhs)	4.8	5.0	5.1
Current Hedges (%)	20%	0%	0%

Supply Segment Asset Hedge Positions

© PPL Corporation 2010

15

Note: As of March 31, 2010

(1)Weighted Average $/ton at mine for east wholly owned plants; excludes Keystone & Conemaugh

201020112012

Uranium100%100%100%

Coal

East99%91%78%

West100%100%91%

Total99%93%81%

	2010		2011		2012
	Hedge Level	Price	Hedge Level	Price	Hedge Level	Price
% Fixed Base Price	93%	$49	29%	$53	20%	$65
% Collars	0%	N/A	68%	$45- $52	80%	$44- $52
% Diesel Surcharge	7%	$44	4%	$45	0%	N/A

Eastern Coal Contracts (1)

Current Fuel Contracts - Base Prices

© PPL Corporation 2010

© PPL Corporation 2010

A-1

(1)	Market prices based on the average of broker quotes as of 3/31/10
(2)	24-hour average
(3)	NYMEX and TZ6NNY forward gas prices on 3/31/10
(4)	Market Heat Rate = PJM on-peak power price divided by TZ6NNY gas price

Market Prices

© PPL Corporation 2010

PPL Supply Business Overview

A-2

Gas/Oil
37%

Coal
36%

Nuclear
19%

Hydro
8%

2010E
Installed Capacity MW

Gas/Oil
9%

Coal
52%

Nuclear
31%

Hydro
8%

Note:Includes tolling agreements

© PPL Corporation 2010

West1,286 MW

PPL’s Generation Portfolio

Total Domestic Generation: 11,695 MW

Planned Uprate Projects or Additions:239 MW

Coal3,497

Nuclear2,206

Oil1,672

Gas2,212

Hydro324

CTs465

QFs33

Coal682

Hydro604

Hydro Uprate (2012)28

Nuclear Uprate (2010-2011)53

Hydro Uprate (2013) 125

Gas/Oil Uprate (2011)30

Landfill Gas Uprate (2011)3

A-3

(1)	Includes tolling agreements, and renewable energy projects
(2)	Includes 12 MWs associated with the proposed sale of the remaining PPL Maine hydro assets

(1)

(2)

(1)

Note:As of March 31, 2010

East10,409 MW

© PPL Corporation 2010

Millions

$1,694

$1,975

$1,979

A-4

Capital Expenditures by Segment

© PPL Corporation 2010

Millions

$3,092

$3,562

$4,197

$4,630

$5,060

$2,867

A-5

CAGR (2009-2014)

Distribution = 7.4%

Transmission = 21.7%

Combined = 12.0%

Pennsylvania Delivery Rate Base

© PPL Corporation 2010

A-6

P

August 11, 2009 July 19, 2011

October 20, 2009 October 18, 2011

January 19, 2010 January 9, 2012

April 20, 2010 April 3, 2012

July 20, 2010 July 17, 2012

October 19, 2010 October 16, 2012

April 18, 2011 January 22, 2013

P

P

Completed

P

P

PPL Electric Utilities 2011 to mid-2013
Procurement Plan Schedule

§Due dates for bids:

© PPL Corporation 2010

$/Share

Annualized

Dividend Profile

A-7

© PPL Corporation 2010

Note:As of March 31, 2010

(1)Bonds defeased in substance in 2008 by depositing sufficient funds with the trustee

A-8

Debt Maturities

Debt Maturities  (Millions)  2010 2011 2012 2013 2014  PPL Energy Supply $0 $500 $0 $737 $300  PPL Capital Funding 0 0 0 0 0  PPL Electric Utilities 0 0 0 400 10 (1)  WPD Group 0 0 0 0 0  Total $0 $500 $0 $1,137 $310  Note: As of March 31, 2010  (1) Bonds defeased in substance in 2008 by depositing sufficient funds with the trustee   © PPL Corporation 2010 A-8

© PPL Corporation 2010

(1) Reported as of March 31, 2010

Domestic facilities consist of a diverse bank group, with no bank and its
affiliates providing an aggregate commitment of more than 15% of the total
committed capacity.

A-9

Liquidity Profile

Liquidity Profile Total Letters of Credit Expiration Facility Outstanding (1) Drawn (1) Availability Institution Facility Date (Millions) (Millions) (Millions) (Millions) PPL Energy Supply 5-year Credit Facility Jun-2012 $3,225 $474 $285 $2,466 3-Year Bilateral Credit Facility Mar-2013 200 4 0 196 5-year Structured Credit Facility Mar-2011 300 282 0 18 364-day Credit Facility Sep-2010 400 0 0 400 $4,125 $760 $285 $3,080 PPL Electric Utilities 5-year Credit Facility May-2012 $190 $6 $0 $184 Asset-backed Credit Facility Jul-2010 150 0 0 150 $340 $6 $0 $334 WPD 3-year Credit Facility Jul-2012 £210 £0 £42 £168 5-year Credit Facility Jan-2013 150 0 148 2 Uncommitted Credit Facilities 64 3 14 47 £424 £3 £ 204 £217 Domestic facilities consist of a diverse bank group, with no bank and its affiliates providing an aggregate commitment of more than 15% of the total committed capacity. (1) Reported as of March 31, 2010 © PPL Corporation 2010 A-9

© PPL Corporation 2010

Millions

A-10

PPL Energy Supply Collateral Profile

© PPL Corporation 2010

A-11

	2009	2010
Cash from Operations	$1,310	$1,663
Increase/(Decrease) in cash due to:
Capital Expenditures	(720)	(952)
Investment in Energy Project
Asset Sales (1) (2)	84	151
Other Investing Activities-net	(75)	(15)
Free Cash Flow before Dividends	$599	$847

(1)2009 includes sale of Wyman and initial payment for the Maine hydro assets from ArcLight

(2)2010 includes February 2010 sale of the Long Island generating assets, contingent payment on the pending sale of the
remaining Maine hydro assets from ArcLight, and completion of the pending sale of the remaining Maine hydro assets to the
Penobscot Trust

(Millions)

ActualProjected

Supply Segment Reconciliation of Cash from Operations
to Free Cash Flow before Dividends

© PPL Corporation 2010

A-12

	2009	2010
Cash from Operations	$294	$230
Less Transition Bond Repayment
Increase/(Decrease) in cash due to:
Capital Expenditures	(298)	(422)
Asset Sales & Other	3	1
Free Cash Flow before Dividends	($1)	($191)

(Millions)

ActualProjected

PA Delivery Segment Reconciliation of Cash from
Operations to Free Cash Flow before Dividends

© PPL Corporation 2010

A-13

	2009	2010
Cash from Operations	$248	$138
Increase/(Decrease) in cash due to:
Capital Expenditures Other Investing Activities - Net	(247) 1	(320)
Free Cash Flow before Dividends	$2	($182)

(Millions)

ActualProjected

International Delivery Segment Reconciliation of Cash
from Operations to Free Cash Flow before Dividends

© PPL Corporation 2010

A-14

(Millions)

Reconciliation of First Quarter Earnings from Ongoing
Operations to Reported Earnings

Reconciliation of First Quarter Earnings from Ongoing  Operations to Reported Earnings  Quarter Ending March 31, 2010  Earnings from Ongoing Operations  Special Items:   Energy-related economic activity  Impairments  Other:    Montana hydroelectric litigation  Health Care Reform - tax impact  Total Special Items  Reported Earnings*   Quarter Ending March 31, 2009  Earnings from Ongoing Operations  Special Items:   Energy-related economic activity  Impairments  Workforce reduction  Total Special Items   Reported Earnings*   Change in Earnings from Ongoing Operations   * Represents net income attributable to PPL Corporation.  (Millions)   Supply  $244   (65)  (2)& #160; (32)  (8)  (107) $137 $81 50 (20) (6) 24   $105   $163

Pennsylvania Delivery   $37   0   $37   $55   (1)  (5)  (6) $49   ($18)   International Delivery   $76     $76   $90   (1)  (2)  (3) $87   ($14)   Total   $357   (65) (2) (32)  (8) (107) $250   $226   50  (22) (13) 15   $241   $131   © PPL Corporation 2010 A-14

© PPL Corporation 2010

A-15

(Dollars Per Share)

Reconciliation of First Quarter Earnings from Ongoing
Operations to Reported Earnings

Reconciliation of First Quarter Earnings from Ongoing  Operations to Reported Earnings  (Dollars Per Share)  Quarter Ending March 31, 2010  Earnings from Ongoing Operations  Special Items:  Energy-related economic activity Impairments Other: Supply  $0.64  (0.16)  (0.01)  Pennsylvania  Delivery  $0.10  International Delivery  $0.20  

Total  $0.94  (0.16)  (0.01) Montana hydroelectric litigation  Health Care Reform - tax impact  Total Special Items  Reported Earnings  (0.09)  (0.02)  (0.28)  $0.36  0.00  $0.10  0.00  

$0.20  (0.09) (0.02)  (0.28)  $0.66  Quarter Ending March 31, 2009  Earnings from Ongoing Operations  Special Items:  Energy-related economic activity  Impairments  Workforce reduction  Total Special Items  Reported Earnings  $0.22  0.13  (0.06)  (0.01)  0.06  $0.28  $0.14  (0.01)  (0.01)  $0.13  $0.24  (0.01)  (0.01)  $0.23  $0.60  0.13  (0.06)  (0.03)  0.04  $0.64  Change in Earnings from Ongoing Operations $0.42 ($0.04) ($0.04) $0.34  Note: Per share amounts are based on diluted shares outstanding.& #160;  © PPL Corporation 2010 A-15

© PPL Corporation 2010

A-16

Reconciliation of PPL’s Earnings from
Ongoing Operations to Reported Earnings

econciliation of PPL’s Earnings from  Ongoing Operations to Reported Earnings  Forecast Actual  High Low  2010 2010 2009 2008  Earnings from Ongoing Operations per share of common stock $3.50 $3.10 $1.95 $2.02  Special Items:  Energy-related economic activity (0.16) (0.16) (0.59) 0.67  Sales of assets (0.11) (0.01)  Impairments (0.01) (0.01) (0.06) (0.16)  Workforce reductions (0.03)  Other:  Montana hydroelectric litigation (0.09) (0.09) (0.01)  Health Care Reform - tax impact (0.02) (0.02)  Change in tax accounting method related to repairs (0.07)  Synfuel tax adjustment (0.04)  Montana basin seepage l itigation (0.01)  Total Special Items (0.28) (0.28) (0.87) 0.45  Reported Earnings per share of common stock $3.22 $2.82 $1.08 $2.47  Note: Per share amounts are based on diluted shares outstanding.   © PPL Corporation 2010 A-16

© PPL Corporation 2010

A-17

(Millions of Dollars)

(a) See additional information on the following slide.

Reconciliation of Year-to-Date
Operating Income and Energy Margins

Reconciliation of Year-to-Date  Operating Income and Energy Margins  (Millions of Dollars)   Year-to-Date March 31,   Per Share  2010 2009 Change Diluted (after-tax)   Eastern U.S., pre-tax $659 $312 $347 $0.53   Western U.S., pre-tax 84 83 1  Domestic gross energy margins, pre-tax $743 $395 $348 $0.53   Year-to-Date March 31,  2010 2009   Operating Income $492 $412   Adjustments: Utility (1,014) (1,065) Energy-related businesses, net (6) (8) Other operation and maintenance 445 372  Amortization of recoverable transition costs 0 84 Depreciation 128 109  Taxes, other than income 72 72 Revenue adjustments (a) (327) 152 Expense adjustments (a) 953 267     Domestic gross energy margins $743 $395   (a) See additional information on the following slide.  © PPL Corporation 2010 A-17

© PPL Corporation 2010

A-18

(Millions of Dollars)

Reconciliation of Year-to-Date
Operating Income and Energy Margins

Reconciliation of Year-to-Date  Operating Income and Energy Margins  (Millions of Dollars)   Year-to-Date March 31,  2010 2009   Revenue adjustments  Impact from energy-related economic activity $ (447) $ (353)  Revenue from energy supplied to PPL Electric by PPL EnergyPlus 115 497  Gains from sale of RECs 1 0  Revenues from Supply segment discontinued operations 4 8  Total revenue adjustments $ (327) $ 152   Expense adjustments  Impact from energy-related economic activity $ (557) $ (267)  PLR energy supplied by third parties (409) (12)  Other 13 12  Total expense adjustments $ (953) $ (267)   © PPL Corporation 2010 A-18

© PPL Corporation 2010

A-19

(Millions of Dollars)

(a) See additional information on the following slide.

Reconciliation of Year-to-Date
Operating Income and Delivery Margins

Reconciliation of Year-to-Date  Operating Income and Delivery  (Millions of Dollars)   Year-to-Date March 31,   Domestic gross delivery margins, pre-tax  2010  $ 221 $  2009  237  Change  $ (16)  Per Share  Diluted (after-tax)  (0.02) $  2010 2009  Year-to-Date March 31,   Operating Income $ 492 $ 412  Adjustments:  Unregulated retail electric and gas (104) (42)  Wholesale energy marketing (1,810) (1,150)  Net energy trading margins (11) 12  Energy-related businesses, net (6) (8)  Fuel 233 258  Energy purchases 1,575 946  Other operation and maintenance 445 372  Dep reciation 128 109  Taxes, other than income 72 72  Revenue adjustments (a) (203) (176)  Expense adjustments (a) (590) (568)  Domestic gross delivery margins  (a) See additional information on the following slide.  $ 221 $ 237   © PPL Corporation 2010 A-19

© PPL Corporation 2010

A-20

(Millions of Dollars)

Reconciliation of Year-to-Date
Operating Income and Delivery Margins

Reconciliation of Year-to-Date  Operating Income and Delivery Margins  (Millions of Dollars)   Year-to-Date March 31,  2010 2009   Revenue adjustments  WPD utility revenue $ (203) $ (176)   Expense adjustments  PLR energy purchases $ 524 $ 509  Gross receipts tax 45 51  Act 129 18 0  Other 3 8  Total expense adjustments $ 590 $ 568   © PPL Corporation 2010 A-20

© PPL Corporation 2010

Credit Ratings

A-21

	Moody’s	Standard & Poor’s	Fitch
PPL Corporation
Issuer Rating	Baa2	BBB	BBB
Outlook	NEGATIVE	NEGATIVE	STABLE
PPL Energy Supply
Issuer Rating		BBB	BBB
Tax-Exempt Bonds (1)	Aaa	AAA
Senior Notes	Baa2	BBB	BBB
Outlook	STABLE	NEGATIVE	STABLE
PPL Capital Funding
Issuer Rating			BBB
Senior Unsecured Debt	Baa2	BBB-	BBB
Subordinated Debt	Baa3	BB+	BB+
Outlook	NEGATIVE		STABLE
PPL Electric Utilities
Issuer Rating	Baa1	A-	BBB
First Mortgage Bonds	A3	A-	A-
Tax-Exempt Bonds (2)	A3/Baa1	A/A-
Senior Secured Debt	A3	A-	A-
Commercial Paper	P-2	A-2	F-2
Preferred Stock	Baa3	BBB	BBB-
Preference Stock	Baa3	BBB	BBB-
Outlook	NEGATIVE	NEGATIVE	STABLE

(1)Letter of Credit-Backed Security

(2)Includes both Insured and Non-Insured Securities

© PPL Corporation 2010

Credit Ratings (cont.)

A-22

Commercial Paper

A-

BBB+

Baa1

Senior Unsecured Debt

F2

A-2

P-2

Commercial Paper

POSITIVE

NEGATIVE

STABLE

Outlook

BBB+

BBB+

Baa1

Issuer Rating

A-

BBB+

Baa1

Senior Unsecured Debt

F2

A-2

Commercial Paper

POSITIVE

NEGATIVE

STABLE

Outlook

Western Power Distribution (South West) PLC

BBB+

BBB+

Issuer Rating

Western Power Distribution (South Wales) PLC

POSITIVE

NEGATIVE

STABLE

Outlook

POSITIVE

Outlook

BBB

Issuer Rating

WPD Holdings LLP

BBB-

BBB-

Baa3

Issuer Rating

BBB

BBB-

Baa3

Senior Unsecured Debt

A-3

Commercial Paper

WPD Holdings Limited

BBB

BBB-

Baa3

Pass-Through Certificates

STABLE

STABLE

Outlook

PPL Montana

Fitch

Standard & Poor’s

Moody’s

© PPL Corporation 2010

A-23

Statements contained in this presentation, including statements with respect to future earnings, energy prices, margins and sales,

growth, revenues, expenses, cash flow, acquisitions and dispositions, marketing performance, hedging, financing, exchange rates,
corporate strategy and generating capacity and performance, are “forward-looking statements” within the meaning of the federal
securities laws. Although PPL Corporation believes that the expectations and assumptions reflected in these forward-looking
statements are reasonable, these statements are subject to a number of risks and uncertainties, and actual results may differ materially
from the results discussed in the statements. The following are among the important factors that could cause actual results to differ
materially from the forward-looking statements: market demand and prices for energy, capacity and fuel; weather conditions affecting
customer energy usage and operating costs; competition in power markets; the effect of any business or industry restructuring; the
profitability and liquidity of PPL Corporation and its subsidiaries; new accounting requirements or new interpretations or applications of
existing requirements; operating performance of plants and other facilities; environmental conditions and requirements and the related
costs of compliance, including environmental capital expenditures and emission allowance and other expenses; system conditions and
operating costs; development of new projects, markets and technologies; performance of new ventures; asset acquisitions and
dispositions, including the proposed acquisition of E.ON U.S.; any impact of hurricanes or other severe weather on our business,
including any impact on fuel prices; receipt of necessary government permits, approvals, rate relief and regulatory cost recovery;
capital market conditions and decisions regarding capital structure; the impact of state, federal or foreign investigations applicable to
PPL Corporation and its subsidiaries; the outcome of litigation against PPL Corporation and its subsidiaries; stock price performance;
the market prices of equity securities and the impact on pension income and resultant cash funding requirements for defined benefit
pension plans; the securities and credit ratings of PPL Corporation and its subsidiaries; political, regulatory or economic conditions in
states, regions or countries where PPL Corporation or its subsidiaries conduct business, including any potential effects of threatened or
actual terrorism or war or other hostilities; foreign exchange rates; new state, federal or foreign legislation, including new tax legislation;
and the commitments and liabilities of PPL Corporation and its subsidiaries. Any such forward-looking statements should be
considered in light of such important factors and in conjunction with PPL Corporation’s Form 10-K and other reports on file with the
Securities and Exchange Commission.

Forward-Looking Information Statement

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“Earnings from ongoing operations” should not be considered as an alternative to reported earnings, or net income attributable to PPL, which is
an indicator of operating performance determined in accordance with generally accepted accounting principles (GAAP). PPL believes that
“earnings from ongoing operations,” although a non-GAAP financial measure, is also useful and meaningful to investors because it provides
them with management’s view of PPL’s fundamental earnings performance as another criterion in making their investment decisions. PPL’s
management also uses “earnings from ongoing operations” in measuring certain corporate performance goals. Other companies may use
different measures to present financial performance.

“Earnings from ongoing operations” is adjusted for the impact of special items.Special items include:

•Energy-related economic activity (as discussed below).

•Foreign currency-related economic hedges.

•Sales of assets not in the ordinary course of business.

•Impairment charges (including impairments of securities in the company’s nuclear decommissioning trust funds).

•Workforce reduction and other restructuring impacts.

•Other charges or credits that are, in management’s view, not reflective of the company’s ongoing operations.

Energy-related economic activity includes the changes in fair value ofpositions used to economically hedge a portion of the economic value of
PPL’s generation assets, load-following and retail activities. This economic value is subject to changes in fair value due to market price volatility
of the input and output commodities (e.g., fuel and power). Also included in this special item is the ineffective portion of qualifying cash flow
hedges and the premium amortization associated with options classified as economic activity. These items are included in ongoing earnings
over the delivery period of the item that was hedged or upon realization. Management believes that adjusting for such amounts provides a
better matching of earnings from ongoing operations to the actual amounts settled for PPL’s underlying hedged assets. Please refer to the
Notes to the Consolidated Financial Statements and MD&A in PPL Corporation’s periodic filings with the Securities and Exchange Commission
for additional information on energy-related economic activity.

“Free cash flow before dividends” is derived by deducting capital expenditures and other investing activities-net, from cash flow from
operations. Free cash flow before dividends should not be considered as an alternative to cash flow from operations, which is determined in
accordance with GAAP. PPL believes that free cash flow before dividends, although a non-GAAP measure, is an important measure to both
management and investors since it is an indicator of the company’s ability to sustain operations and growth without additional outside financing
beyond the requirement to fund maturing debt obligations. Other companies may calculate free cash flow before dividends in a different
manner.

Definitions of Non-GAAP Financial Measures

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"Domestic Gross Energy Margins" and "Domestic Gross Delivery Margins" are not intended to replace "Operating Income," which is
determined in accordance with GAAP, as an indicator of overall operating performance.

•"Domestic Gross Energy Margins" is a single financial performance measure of PPL's domestic energy non-trading and trading
activities.In calculating this measure, the Supply segment's energy revenues are offset by the cost of fuel and energy purchases, and
adjusted for other related items.This performance measure excludes utility revenues and includes revenues from energy sales to PPL
Electric by PPL EnergyPlus.In addition, PPL excludes from "Domestic Gross Energy Margins" energy-related economic activity, which
includes the changes in fair value of positions used to economically hedge a portion of the economic value of PPL's generation assets,
load-following and retail activities.This economic value is subject to changes in fair value due to market price volatility of the input and
output commodities (e.g., fuel and power) prior to the delivery period that was hedged.Also included in this energy-related economic
activity is the ineffective portion of qualifying cash flow hedges and the premium amortization associated with options.This economic
activity is deferred and included in earnings over the delivery period that was hedged.PPL believes that "Domestic Gross Energy
Margins" provides another criterion to make investment decisions.This performance measure is used, in conjunction with other
information, internally by senior management and the Board of Directors to manage its domestic energy non-trading and trading
activities.PPL's management also uses "Domestic Gross Energy Margins" in measuring certain corporate performance goals used in
determining variable compensation. Other companies may use different measures to present the results of their energy non-trading
and trading activities.

•"Domestic Gross Delivery Margins" is a single financial performance measure of PPL's domestic regulated electric delivery operations,
which includes transmission and distribution activities, including PLR energy supply.In calculating this measure, domestic regulated
utility revenues and expenses associated with approved recovery mechanisms, including energy provided as a PLR, are offset.These
mechanisms allow for full cost recovery of certain expenses; therefore certain expenses and revenues offset with minimal impact on
earnings.As a result, this measure represents the net revenues from PPL's domestic regulated electric delivery operations.This
performance measure is used, in conjunction with other information, internally by senior management and the Board of Directors to
manage its domestic regulated electric delivery operations.PPL believes that "Domestic Gross Delivery Margins" provides another
criterion to make investment decisions. Other companies may use different measures to present the results of their regulated electric
delivery operations.

Definitions of Non-GAAP Financial Measures
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